Law: Sales Tax Act, 1990

Section: 11

Law: Constitution of Pakistan, 1973

Section: 199

(a) Sales Tax Act (VII of 1990)--- ----S. 11----Constitution of Pakistan, Art. 199---Assessment of tax and recovery of tax not levied or short levied or erroneously refunded---Show cause notice---Scope---Constitutional petition---Maintainability---Show caused notice was issued on allegations of failure to impose or collect sales tax---Mere show cause notice was not an adverse order; however, exception to said general rule was that if the show cause notice was without jurisdiction constitutional petition was maintainable---Objection as to maintainability of constitutional petition was repelled in circumstances. Commissioner of Income Tax v. Eli Lilly Pakistan (Pvt.) Ltd., 2009 SCMR 1279; Gatron (Industries) Ltd. v. Government of Pakistan and others 1999 SCMR 1072 and Murree Brewery Co. Ltd. v. Pakistan through Secretary to GOP, Works and Division and 2 others PLD 1972 S.C. 279 rel. (b) Sales Tax Act (VII of 1990)--- ----S. 11----Assessment of tax and recovery of tax not levied or short levied or erroneously refunded---Show cause notice issued on allegations of failure to impose or collect sales tax---Scope and applicability of S.11, Sales Tax Act, 1990---'Redundancy', principle of---Applicability---Whether---S. 11(1) of the Act was attracted when a person, who was required to file a tax return, had failed to file the same for a tax period by the due date, or paid an amount, which because of some miscalculation, was less than the amount of tax actually paid, and the provision related to a situation which did not involve dispute regarding the actual amount payable as tax by the registered person---Section 11(2) of the Act envisaged a situation where a person had not paid the tax due on supplies made by him or had made short payments or claimed input tax credit or refund which was not admissible under the Act for reasons other than those specified in S. 11(1) of the Act; therefore, said provision did not involve the short levy or non-levy of tax, and the tax due was not disputed---Sections 11(3) & 11(4) of the Act, on the other hand, were attracted when the allegation related to a tax or charge not having been 'levied or made' or having been 'short levied' or…